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Although he hit the jackpot with a massive $255 million contract in 2023, Philadelphia Eagles quarterback Jalen Hurts still lives like a humble college student. He rents an apartment in Cherry Hill, New Jersey, for just $2,000 a month, according to a report from The Sun.
“I didn’t buy a house or anything like that when I got drafted because it was just me,” the superstar told GQ in a 2021 interview. "I didn’t need this big place just for myself. I just got myself a little apartment. You know, something smooth that’ll last me for the time being."
Hurts’ intentional choice to rent a bachelor pad rather than splurge on a luxury penthouse or sprawling mansion is a standout example of financial discipline and living within one’s means.
Here’s how a similar approach could help you chart a path to financial freedom.
Needs-based budgeting
Given that each NFL season lasts for just 18 weeks, athletes like Hurts don’t necessarily need to purchase property near their workplace. His deliberate decision to rent is an example of needs-based budgeting.
According to the University of Pennsylvania, this budgeting technique focuses on securing essential spending needs first before moving onto saving, investing and indulging in luxuries.
Financial experts usually recommend spending no more than 30% of your gross income on housing and no more than 15% for car payments. Applying these limits while making purchase decisions could help you live within your means.
With Monarch Money, you can track your spending down to the last penny — allowing you to budget more efficiently.
The app syncs all your accounts and categorizes your transactions automatically, and its net worth tracker displays all your assets and liabilities at one glance. This way, you can get a snapshot of your finances in one place, so you know where your money is and where it’s going all the time.
You can get a two-week free trial and up to 50% off for the first year when you sign up.
With your needs secured, you can turn your attention to saving and investing to achieve financial freedom as rapidly as possible.
You can save while you spend by investing spare change from everyday purchases with Acorns. All you have to do is link your bank account and credit cards, and Acorns will round up every purchase you make to the nearest dollar and invest the excess in a diversified portfolio of ETFs.
For instance, when you buy a coffee for $4.55, Acorns will automatically round up the transaction to $5, and deposit the 45-cent difference into a smart investment portfolio. Just $2.50 worth of daily round ups can add up to over $900 a year — and that’s before it earns money in the market.
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Long-term investing
Although Hurts rents during the football season, he’s an active real estate investor off-season.
He purchased a $215,000 home in his hometown of Humble, Texas, for his father before purchasing another property for his mother in Houston, according to the NY Post. The MVP also owns a $6 million 6,000-square-foot residence in Texas along with the unit next door which cost another $2.68 million.
While he’s still at the top of his game, this extensive real estate portfolio could serve as a long-term financial safety net for the superstar athlete should he ever need it. Investing in real estate also offers diversification benefits, allowing investors to somewhat hedge their portfolios against market downturns.
Accredited investors can gain direct exposure to the $36 trillion U.S. home equity market through Homeshares U.S. Home Equity Fund. With a minimum investment of $25,000, they can own a stake in high-quality owner-occupied homes in the top cities across the country without worrying about the hassles of property ownership or management.
Homeshares U.S. Equity Fund could offer lucrative returns for investors, with risk-adjusted internal returns ranging from 12% to 18%.
Other ways to invest
Setting aside a portion of your income for investing in stocks and bonds can help you secure your financial future. In fact, stock market investments have historically proved to be more lucrative than real estate — the S&P 500 index has returned roughly 10% per year on average, outperforming the residential real estate sector’s 4%-8% gains.
Legendary investor Warren Buffett is also a fan of low-cost index funds, saying they make “the most sense practically all of the time.”
Wealthfront is a robo-advisory platform that allows investors to automatically invest in personalized portfolios of index funds and ETFs.
You can also customize your portfolio further by investing in individual stocks. Wealthfront uses modern portfolio theory to automate asset allocation — rebalancing your portfolio and diversifying your deposits in a tax-efficient manner.
Plus, Wealthfront doesn’t charge fees or commissions on individual trades, but rather a flat 0.25% management fee every year. You can get started with just $1.
If you want to take things up a notch, Moby provides expert analysis on individual stocks.
Founded by a team of former hedge fund analysts, Moby’s individual stock picks have outperformed the S&P 500 index’s returns by an average of 11.95% per year over the last four years. And that’s on top of the index’s annualized returns of about 10%.
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Speak to a professional
Whether you’re just embarking on your investment journey or have already built a sizable portfolio, speaking to a financial advisor can help you understand if you’re on the right track.
Especially now – with the markets reacting to President Trump’s tariffs – you might want to connect with an expert for advice on how to hedge your portfolio.
Finding a financial advisor that suits your specific needs and financial goals is simple with Vanguard.
Vanguard’s hybrid advisory system combines advice from professional advisers and automated portfolio management to make sure your investments are working to achieve your financial goals.
All you have to do is fill out a brief questionnaire about your financial goals, and Vanguard’s advisers will help you set a tailored plan, and stick to it.
Once you’re set, you can sit back as Vanguard’s advisors manage your portfolio. Because they’re fiduciaries, they don’t earn commissions, so you can trust that the advice you’re getting is unbiased.
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
